Former Revenue head to conduct Cullen inquiry

The future of the Minister for Transport, Mr Cullen, could be in serious question following the publication of the terms of reference…

The future of the Minister for Transport, Mr Cullen, could be in serious question following the publication of the terms of reference for an inquiry into his conduct to be undertaken by the former head of the Revenue Commissioners.

Mr Dermot Quigley has been asked to inquire into the awarding of public relations contracts by the Department of the Environment, Heritage and Local Government and the Office of Public Works (OPW).

A Waterford public relations consultant, Ms Monica Leech, has earned €350,000 since 2002 from the two departments and continues to earn €800 a day from the Department of the Environment for a three-day week.

Mr Cullen was appointed Minister for the Environment after the 2002 general election - a post he held until moving to the Department of Transport in this year's Cabinet reshuffle. He was previously minister of state responsible for the OPW.

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On Sunday, the Taoiseach, Mr Ahern, said he hoped that the inquiry set up yesterday - one of two under way into the Minister's behaviour in relation to public relations contracts - would be completed quickly, "within a month".

However, the scope offered by the terms of reference given to Mr Quigley to make a broad-ranging report took some people in Leinster House by surprise last night.

He has been given the power to make judgment calls about the way in which the contracts to Ms Leech were awarded and the rates of pay involved and to recommend any necessary "changes of practice".

Pointedly failing to support Mr Cullen, the Progressive Democrats leader and Tánaiste, Ms Harney, said: "I think it is important that we would have a speedy outcome to this inquiry because there has been a lot of controversy around this issue for far too long."

The terms of reference were drawn up by the Taoiseach following consultations between his officials yesterday and the leader of the Labour Party, Mr Pat Rabbitte.

The Taoiseach has accepted Mr Rabbitte's desire to ensure that the Quigley inquiry would be able to examine the way in which ministers in the Department of the Environment and the OPW were able to influence the selection of contractors since 1997.

Privately, Mr Cullen's colleagues acknowledge that he will need to be completely exonerated by the Quigley inquiry and by the second one being undertaken by the Standards in Public Office Commission.

The full terms of reference of the Quigley inquiry are:

- to establish the circumstances in which arrangements were entered into for the engagement of Ms Monica Leech and/or Monica Leech Communications to provide services to the Office of Public Works and the Department of the Environment, Heritage and Local Government since July 1997;

- to examine the procedures adopted by reference to the norms and practice in respect both of public procurement and the division of functions and responsibilities between ministers and civil servant departmental heads;

- to ascertain whether the services contracted for differed in any material respect from those provided; and to make a report of findings and conclusions in relation to these matters and, arising from them, to make recommendations, if appropriate, in relation to any changes in practice which may be desirable.

Mark Hennessy

Mark Hennessy

Mark Hennessy is Ireland and Britain Editor with The Irish Times